Exhibit 10.1

                                                                 JPMorgan [LOGO]

JPMorgan Chase Bank, N.A.
P.O. Box 161
60 Victoria Embankment
London EC4Y 0JP
England

                                                                  March 23, 2006
To: Albany International Corp.
1373 Broadway
Albany, New York 12204
Attention: David Michaels
Telephone No.: (518) 445-2212
Facsimile No.: (518) 447-6305

Re: Call Option Transaction Amendment

      This letter agreement (the "Amendment") amends the terms and conditions of
the Transaction  (the  "Transaction")  entered into between JPMorgan Chase Bank,
N.A., London Branch  ("JPMorgan"),  and Albany  International  Corp., a Delaware
corporation (the "Counterparty"),  pursuant to a letter agreement dated March 7,
2006 (the  "Confirmation")  pursuant to which the  Counterparty  purchased  from
JPMorgan a Number of Options equal to 90,000 in connection  with the issuance by
Counterparty of USD 150,000,000  principal  amount of 2.25%  Convertible  Senior
Notes due 2026 (the "Initial Convertible Notes"). This Amendment relates to, and
sets forth the terms of, the purchase by the  Counterparty  from  JPMorgan of an
additional Number of Options (the "Additional  Number of Options") in connection
with the issuance by the Counterparty of an additional USD 30,000,000  principal
amount of 2.25% Convertible  Senior Notes due 2026 (the "Additional  Convertible
Notes",  and  together  with the Initial  Convertible  Notes,  the  "Convertible
Notes") to the initial purchasers of the Convertible Notes.

      Upon  the   effectiveness  of  this  Amendment,   all  references  in  the
Confirmation  to the "Number of  Options"  will be deemed to be to the Number of
Options  as  amended  hereby  and  all  references  in the  Confirmation  to the
"Transaction" will be deemed to be to the Transaction, as amended hereby and all
references  to  "Convertible  Notes"  will be deemed to include  the  Additional
Convertible Notes. Except to the extent specified below, all other provisions of
the  Confirmation  shall  apply to the  Additional  Number of Options as if such
Additional  Number of  Options  were  originally  subject  to the  Confirmation.
Capitalized  terms  used  herein  without  definition  shall  have the  meanings
assigned to them in the Confirmation.

Amendments.  The terms  relating  to the  purchase  by the  Counterparty  of the
Additional Number of Options are as follows:

1. The "Trade  Date" with  respect to the  Additional  Number of Options will be
March 23, 2006.

2. The "Number of Options" for the Transaction  will be "108,000"  reflecting an
increase of 18,000 Options.

3. An additional  "Premium" to be determined  by the  Calculation  Agent will be
payable by the  Counterparty to JPMorgan in respect of the Additional  Number of
Options (the "Additional Call Option Premium") on a Currency  Business Day to be
specified  by the  Calculation  Agent (such date,  the  "Additional  Call Option
Premium Payment Date"),  by written notice to the  Counterparty in substantially
the form of the pricing  supplement  set forth in Exhibit A hereto (the "Pricing
Supplement")  no later than one Currency  Business  Day prior to the  Additional
Call Option Premium Payment Date.


                    JPMorgan Chase Bank, National Association
 Organised under the laws of the United States as a National Banking Association
             Main Office 1111 Polaris Parkway, Columbus, Ohio 43271
          Registered as a branch in England & Wales branch No. BR000746
            Registered Branch Office 125 London Wall, London EC2Y 5AJ
          Authorised and regulated by the Financial Services Authority
<PAGE>

Repeated  Representations.  The Counterparty  hereby repeats the representations
and  warranties  set forth in Section 8 and  Sections  9(f),  (g) and (i) of the
Confirmation;  provided  that the  Counterparty  shall be deemed  to repeat  the
representation  contained in Section 8(e) of the Confirmation on each day during
the period beginning on the date hereof and ending on the Additional Call Option
Premium Payment Date.

Rule 10b-18.  The Counterparty  further  represents that, except as disclosed in
writing  by the  Counterparty  to  JPMorgan  or as  described  in  the  offering
memorandum  relating to the Convertible Notes,  neither the Counterparty nor any
of its affiliates has purchased any Shares (as contemplated by Rule 10b-18 under
the  Securities  Exchange Act of 1934, as amended (the  "Exchange  Act")) during
each of the four  calendar  weeks  preceding the date hereof.  The  Counterparty
further  covenants  and agrees that  neither it nor any of its  affiliates  will
purchase any Shares prior to the earlier of the  Additional  Call Option Premium
Payment Date and the Early Unwind Date (as defined below).

Conditionality  and Early  Unwind.  The  respective  obligations  of the parties
hereunder  shall  become  final and binding  only if no Early  Unwind  Event (as
defined below) shall have occurred and be continuing as of the Early Unwind Date
(as  defined  below).   Notwithstanding  the  foregoing,  the  Counterparty  and
JPMorgan,  intending to be legally bound,  hereby  acknowledge and agree that in
the event that an Early Unwind Event has occurred and is continuing on the Early
Unwind Date,  JPMorgan or one or more of its  affiliates,  shall  terminate  its
hedging  activities with respect to the portion of the Transaction  contemplated
by this  Amendment on the Early Unwind Date and each party shall be released and
discharged by the other  parties from,  and agrees not to make any claim against
the other parties with respect to, any  obligations  or liabilities of the other
parties  arising out of and to be performed in  connection  with such portion of
the Transaction; provided that, if such Early Unwind Event results from a breach
by  the  Counterparty  of  any  representation  of or  any  undertaking  by  the
Counterparty contained in the Purchase Agreement and relating to the issuance by
the Counterparty of the Additional  Convertible  Notes,  the Counterparty  shall
purchase from JPMorgan on the Early Unwind Date any Shares purchased by JPMorgan
or one  or  more  of its  affiliates  in  connection  with  the  portion  of the
Transaction  contemplated by this Amendment and reimburse JPMorgan for any costs
or  expenses  (including  market  losses)  relating  to  the  unwinding  of  its
reasonable hedging activities in connection with such portion of the Transaction
(including  any  losses  or  costs  incurred  as a  result  of its  terminating,
liquidating, obtaining or reestablishing any reasonable hedge or related trading
position).  The amount of any such reimbursement shall be determined by JPMorgan
in its reasonable good faith discretion.  JPMorgan shall notify the Counterparty
of such amount,  including,  upon the Counterparty's  request, an explanation of
the basis of determination of such amount,  and the Counterparty  shall pay such
amount in immediately available funds on the Early Unwind Date.

For purposes of the foregoing: (i) an "Early Unwind Event" means (a) the failure
to close the Additional  Convertible Notes issuance by the Early Unwind Date for
any reason  whatsoever or (b) the failure of the Counterparty to comply with any
representations,  warranties or undertakings  contained in this  Amendment;  and
(ii) an "Early  Unwind  Date"  means March 28, 2006 or such later date as agreed
upon by the parties.

No Additional Amendments or Waivers.  Except as amended hereby, all the terms of
the Transaction and provisions in the Confirmation  shall remain and continue in
full force and effect and are hereby confirmed in all respects.

Counterparts.  This Amendment may be signed in any number of counterparts,  each
of which shall be an original,  with the same effect as if all of the signatures
thereto and hereto were upon the same instrument.

Governing  Law. The  provisions of this  Amendment  shall be governed by the New
York law (without reference to choice of law doctrine).
<PAGE>

      Please  confirm that the foregoing  correctly  sets forth the terms of our
agreement by executing this  Amendment and returning it in the manner  indicated
in the attached cover letter.

                                     Very truly yours,

                                       J.P. Morgan Securities Inc., as agent for
                                       JPMorgan Chase Bank, National Association

                                       By: /s/ Sudheer Tegulapelle
                                       Authorized Signatory
                                       Name: Sudheer Tegulapelle

Accepted and confirmed
as of the Trade Date:

ALBANY INTERNATIONAL CORP.

By: /s/ David C. Michaels
Authorized Signatory
Name: David C. Michaels
<PAGE>

--------------------------------------------------------------------------------
                                                       Bank of America(R) [LOGO]
                                                 EQUITY FINANCIAL PRODUCTS GROUP
--------------------------------------------------------------------------------

Bank of America, N.A.
c/o Banc of America Securities LLC
9 West 57th Street, 40th Floor
New York, NY 10019

                                                                  March 23, 2006

To: Albany International Corp.
1373 Broadway
Albany, New York 12204
Attention: David Michaels
Telephone No.: (518) 445-2212
Facsimile No.: (518) 447-6305

Re: Call Option Transaction Amendment (Ref. No.: NY-21551)

      This letter agreement (the "Amendment") amends the terms and conditions of
the Transaction (the "Transaction")  entered into between Bank of America,  N.A.
("BofA"),   and  Albany   International   Corp.,  a  Delaware  corporation  (the
"Counterparty"),  pursuant  to a  letter  agreement  dated  March 7,  2006  (the
"Confirmation")  pursuant to which the Counterparty purchased from BofA a Number
of Options equal to 60,000 in connection  with the issuance by  Counterparty  of
USD 150,000,000 principal amount of 2.25% Convertible Senior Notes due 2026 (the
"Initial  Convertible  Notes").  This  Amendment  relates to, and sets forth the
terms of, the purchase by the Counterparty  from BofA of an additional Number of
Options (the "Additional  Number of Options") in connection with the issuance by
the  Counterparty  of an additional  USD  30,000,000  principal  amount of 2.25%
Convertible  Senior  Notes due 2026 (the  "Additional  Convertible  Notes",  and
together with the Initial  Convertible  Notes, the  "Convertible  Notes") to the
initial purchasers of the Convertible Notes.

      Upon  the   effectiveness  of  this  Amendment,   all  references  in  the
Confirmation  to the "Number of  Options"  will be deemed to be to the Number of
Options  as  amended  hereby  and  all  references  in the  Confirmation  to the
"Transaction" will be deemed to be to the Transaction, as amended hereby and all
references  to  "Convertible  Notes"  will be deemed to include  the  Additional
Convertible Notes. Except to the extent specified below, all other provisions of
the  Confirmation  shall  apply to the  Additional  Number of Options as if such
Additional  Number of  Options  were  originally  subject  to the  Confirmation.
Capitalized  terms  used  herein  without  definition  shall  have the  meanings
assigned to them in the Confirmation.

Amendments.  The terms  relating  to the  purchase  by the  Counterparty  of the
Additional Number of Options are as follows:

1. The "Trade  Date" with  respect to the  Additional  Number of Options will be
March 23, 2006.

2. The "Number of Options" for the  Transaction  will be "72,000"  reflecting an
increase of 12,000 Options.

3. An additional  "Premium" to be determined  by the  Calculation  Agent will be
payable  by the  Counterparty  to BofA in respect  of the  Additional  Number of
Options (the "Additional Call Option Premium") on a Currency  Business Day to be
specified  by the  Calculation  Agent (such date,  the  "Additional  Call Option
Premium Payment Date"),  by written notice to the  Counterparty in substantially
the form of the pricing  supplement  set forth in Exhibit A hereto (the "Pricing
Supplement")  no later than one Currency  Business  Day prior to the  Additional
Call Option Premium Payment Date.
<PAGE>

Repeated  Representations.  The Counterparty  hereby repeats the representations
and  warranties  set forth in Section 8 and  Sections  9(f),  (g) and (i) of the
Confirmation;  provided  that the  Counterparty  shall be deemed  to repeat  the
representation  contained in Section 8(e) of the Confirmation on each day during
the period beginning on the date hereof and ending on the Additional Call Option
Premium Payment Date.

Rule 10b-18.  The Counterparty  further  represents that, except as disclosed in
writing by the  Counterparty to BofA or as described in the offering  memorandum
relating  to the  Convertible  Notes,  neither the  Counterparty  nor any of its
affiliates  has purchased any Shares (as  contemplated  by Rule 10b-18 under the
Securities Exchange Act of 1934, as amended (the "Exchange Act")) during each of
the four calendar  weeks  preceding the date hereof.  The  Counterparty  further
covenants and agrees that neither it nor any of its affiliates will purchase any
Shares prior to the earlier of the Additional  Call Option Premium  Payment Date
and the Early Unwind Date (as defined below).

Conditionality  and Early  Unwind.  The  respective  obligations  of the parties
hereunder  shall  become  final and binding  only if no Early  Unwind  Event (as
defined below) shall have occurred and be continuing as of the Early Unwind Date
(as defined below).  Notwithstanding  the foregoing,  the Counterparty and BofA,
intending to be legally bound,  hereby  acknowledge  and agree that in the event
that an Early Unwind Event has  occurred and is  continuing  on the Early Unwind
Date,  BofA  or one or more  of its  affiliates,  shall  terminate  its  hedging
activities with respect to the portion of the  Transaction  contemplated by this
Amendment  on the  Early  Unwind  Date and each  party  shall  be  released  and
discharged by the other  parties from,  and agrees not to make any claim against
the other parties with respect to, any  obligations  or liabilities of the other
parties  arising out of and to be performed in  connection  with such portion of
the Transaction; provided that, if such Early Unwind Event results from a breach
by  the  Counterparty  of  any  representation  of or  any  undertaking  by  the
Counterparty contained in the Purchase Agreement and relating to the issuance by
the Counterparty of the Additional  Convertible  Notes,  the Counterparty  shall
purchase from BofA on the Early Unwind Date any Shares  purchased by BofA or one
or more of its  affiliates  in  connection  with the portion of the  Transaction
contemplated  by this  Amendment  and  reimburse  BofA for any costs or expenses
(including  market losses)  relating to the unwinding of its reasonable  hedging
activities in connection  with such portion of the  Transaction  (including  any
losses or costs incurred as a result of its terminating,  liquidating, obtaining
or reestablishing any reasonable hedge or related trading position).  The amount
of any such  reimbursement  shall be determined by BofA in its  reasonable  good
faith discretion.  BofA shall notify the Counterparty of such amount, including,
upon the Counterparty's request, an explanation of the basis of determination of
such amount, and the Counterparty shall pay such amount in immediately available
funds on the Early Unwind Date.

For purposes of the foregoing: (i) an "Early Unwind Event" means (a) the failure
to close the Additional  Convertible Notes issuance by the Early Unwind Date for
any reason  whatsoever or (b) the failure of the Counterparty to comply with any
representations,  warranties or undertakings  contained in this  Amendment;  and
(ii) an "Early  Unwind  Date"  means March 28, 2006 or such later date as agreed
upon by the parties.

No Additional Amendments or Waivers.  Except as amended hereby, all the terms of
the Transaction and provisions in the Confirmation  shall remain and continue in
full force and effect and are hereby confirmed in all respects.

Counterparts.  This Amendment may be signed in any number of counterparts,  each
of which shall be an original,  with the same effect as if all of the signatures
thereto and hereto were upon the same instrument.

Governing  Law. The  provisions of this  Amendment  shall be governed by the New
York law (without reference to choice of law doctrine).
<PAGE>

      Please  confirm that the foregoing  correctly  sets forth the terms of our
agreement by executing this  Amendment and returning it in the manner  indicated
in the attached cover letter.

                                     Very truly yours,

                                       Bank of America, N.A.

                                       By: /s/ Eric P. Hambleton
                                       Authorized Signatory
                                       Name: Eric P. Hambleton


Accepted and confirmed
as of the Trade Date:

ALBANY INTERNATIONAL CORP.

By: /s/ David C. Michaels
Authorized Signatory
Name: David C. Michaels